Becoming a wealth management centre and international relations implications: The Singapore policy approach and global and regional responses

Document Type

Journal Article

Publisher

Cambridge University Press

Place of Publication

Cambridge, United Kingdom

Faculty

Faculty of Business and Law

School

School of Business

RAS ID

19946

Comments

Austin, I. P. (2015). Becoming a wealth management centre and international relations implications: The Singapore policy approach and global and regional responses. Japanese Journal of Political Science, 16(04), pp. 532-552. Available here.

Abstract

Singapore’s strategic play to secure international wealth management market share has been very successful. Serious questions, however, were raised in relation to this ascendency as the Global Financial Crisis (GFC, beginning in 2007) drove the European Union (EU) and the United States of America (US) to become proactive in clamping down on tax evasion and other areas deemed by them to be undesirable within the international financial system. This paper will examine the Singapore government’s decade-long growth policy of its wealth management sector, and how it has been impacted upon by international regulatory responses. Further, it examines how in stark contrast to the EU and the US, Indonesia has been far less successful in its diplomatic efforts to have Singapore address financial diplomacy issues (tax evasion and ill-gotten gains from corruption) in relation to Indonesian citizens residing in Singapore. This article will argue, however, that Singapore’s less than robust response to Indonesia’s constant requests for action maybe to the long-term detriment of Singapore itself.

DOI

10.1017/S1468109915000298

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